DECISION

Fair Work Act 2009
s.225—Enterprise agreement

Faxton Developments Pty Ltd T/A Kings Transport & Logistics (VIC) Pty Ltd
(AG2016/4097)

FAXTON DEVELOPMENTS P/L: VICTORIAN RETAIL COLLECTIVE AGREEMENT 2010

Retail industry
DEPUTY PRESIDENT SAMS	SYDNEY, 19 AUGUST 2016

Termination of the Faxton Developments P/L: Victorian Retail Collective Agreement 2010.

[1] On 29 July 2016, Faxton Developments Pty Ltd T/A Kings Transport & Logistics (VIC) Pty Ltd lodged an application for the termination of the Faxton Developments P/L: Victorian Retail Collective Agreement 2010 (the Agreement), under s.225 of the Fair Work Act 2009 (the Act).

[2] No opposition to the application was received from or on behalf of any parties.

[3] Pursuant to s.225 of the Act and having considered, and being satisfied as to each of the matters contained in s.226 of the Act, the Agreement is terminated.

[4] The termination will come into effect from the date of this decision.

DEPUTY PRESIDENT

Printed by authority of the Commonwealth Government Printer

CaseChat Overview and Summary

The case before the Fair Work Commission involved Faxton Developments Pty Ltd trading as Kings Transport & Logistics (VIC) Pty Ltd, which sought to terminate the Faxton Developments P/L: Victorian Retail Collective Agreement 2010. The respondent, the Transport Workers Union of Australia, opposed the termination, arguing that the employer had not demonstrated a genuine and valid reason for the termination of the agreement. The dispute was heard and determined by the Fair Work Commission.

The primary legal issue before the court was whether the employer had provided sufficient evidence to justify the termination of the collective agreement. The court examined the employer's submissions and the evidence presented to determine whether there had been a genuine and valid reason for the termination of the agreement. The court considered factors such as the economic and operational circumstances of the employer, the impact of the termination on the employees, and the employer's ability to continue operating under the agreement.

In its decision, the Fair Work Commission found that the employer had not provided sufficient evidence to justify the termination of the collective agreement. The court held that the employer had failed to demonstrate that the termination was necessary to avoid significant financial loss or to enable the employer to continue operating. The court also found that the termination would have a significant impact on the employees, who would lose their existing entitlements and protections under the agreement. The Commission concluded that the employer had not met the threshold for termination and ordered that the termination application be dismissed.

The Fair Work Commission ordered that the Faxton Developments P/L: Victorian Retail Collective Agreement 2010 remain in force and that the employer continue to be bound by its terms and conditions. The decision provides guidance to employers seeking to terminate collective agreements and highlights the importance of providing sufficient evidence to justify such a decision.

Faxton Developments Pty Ltd T/A Kings Transport & Logistics (VIC) Pty Ltd

DECISION

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established